Welcome to this weekly edition of State of the Market. The major averages succumb to modest selling pressure today, even with headlines and media coverage surrounding U.S./China that support a deal forthcoming. Please click the following link to review the SOTM video, which is roughly 1 hour in duration. Additionally, Wayne Nelson delivers our daily,…
Despite it being a QT day of significance and without the benefits of U.S. Treasury issuance offsets, the major averages still rallied and after the FOMC minutes were released. The minutes proved innocuous by and large, inline with what most economists, strategists and analysts had previously assumed. The assumption was that there would be some…
There is at least one key component of the market rally that will likely come into play today, liquidity. Today marks yet another quantitative tightening (QT) day for the FOMC as it continues to reduce the size of its balance sheet. The calendar of QT days is depicted below. It’s a common and widely accepted…
Welcome to our technical market recap with Wayne Nelson. On a day where the major averages began the trading day in the red and rallied through much of the day, only to finish slightly higher, the crosscurrent of fundamentals and technicals are converging. We’re of the opinion that the late day sell down in the…
The market’s reaction to the release of the December 2018 monthly retail sales was just a reasonable excuse to pullback modestly on Thursday. December retail sales proved disappointing and missed average analysts’ estimates for a modest rise in the MoM data. For the month of December, the Census Bureau reported a MoM decline of 1.2%,…
Is it a bear market bounce or a bull market rally? That seems to be the ongoing debate and depending who you ask; the answers will be vastly different. With Wednesday’s market rally, the S&P 500 (SPX) has rallied 15%+ over the past 33 days, with just 2 days in which it fell more than…
If all that you paid attention to on Tuesday was the S&P 500 (SPX) moving above and closing just above its 200-DMA, that might be a good thing. Why do we suggest that? Most plainly, some of the trickling economic data isn’t in keeping with the market’s move higher. Nonetheless, the S&P 500 closing above…
It looks like we have a deal to avoid a government shutdown, as policy makers spill out into the media forums touting such a deal. But will President Donald Trump sign the bipartisan deal? That remains the open-ended question while equity markets positively digest the political news of the day. U.S. equity futures are sharply…
Welcome to our weekend Technical Recap. Wayne takes a look at the market moves for the week as Friday’s turbulent session expressed a bit of a FOMO moment going into the closing bell. While the major averages came off of their lows around midday, they rallied mightily into the close and in earnest, it’s been…
Our daily technical market recap today discusses some of the “pullback” presumptions and probabilities given the decline that hasn’t presented itself until now. Please click the link to review the technical market recap video with Wayne Nelson. 17- minutes in Wayne discusses VIX still closed below the 200-DMA but… and that’s why you need to…
